Reference no: EM132598605

Baltimore Company uses aging to estimate uncollectibles. At the end of the fiscal year, December 31, 2018, Accounts Receivable has a balance that consists of:

Dollar Value        Age of Account              Estimated Collectible

$150,000              < 30 days                         old 99%

60,000                      30 to 60 days                old 89%

25,000                       61 to 120 days               old 73%

12,000                          > 120 days                      old 12%

Question 1: The current unadjusted Allowance for Uncollectible Accounts balance is a debit balance of $2,000 and the Bad Debt Expense accounts has an unadjusted balance of zero. After the adjusting entry is made, what will be the dollar balances in the Allowance for Doubtful Accounts? Round to nearest whole dollar